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K-V Pharmaceutical Announces Updated Makena® Performance Metrics
Date:11/8/2011

nt differences between FDA-approved Makena® and compounded 17P formulations," said Greg Divis, President and CEO of K-V Pharmaceutical and President of Ther-Rx. "We are actively engaging the physician and payer communities and the success of our focused outreach is evidenced by Makena®'s improving performance metrics.  We believe our efforts are driving expanded access to Makena® while we are also successfully maintaining low out-of-pocket costs for patients."

Restatement of Prior Financial Statements and Delay of Fiscal 2012 Second Quarter Form 10-QOn November 7, 2011, the Company's Audit Committee of the Board of Directors, upon recommendation from K-V management, concluded that certain previously issued financial statements did not include the proper treatment and classification for the embedded derivative feature of warrants issued in November 2010 and March 2011. Specifically, the warrants were misclassified as equity instead of as liabilities.  Therefore, the Company will restate and amend previous filings as a result of the misapplication of accounting guidance relating to non-standard anti-dilution provisions in the warrants.  In the restated financial statements, the warrants will be classified as liabilities beginning with the date they were first issued in November 2010 or March 2011, as applicable, with changes in the fair value being recorded as non-cash income or expense in each reporting period. However, the non-cash adjustments to correct the previous treatment and classification, in all of the affected periods, will not impact the amounts previously reported for the Company's cash and cash equivalents, operating expenses, operating losses or cash flows.

Consequently, the Company will file an amended Annual Report on Form 10-K/A for the fiscal year ended March 31, 2011 that will contain restated financial statements for the fiscal year ended March 31, 2011, and amended Quarterly Reports on
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